{
  "title": "Quantum Computing and the Financial System: Spooky Action at a Distance?",
  "publication": "IMF Working Papers, March 12, 2021",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2021/03/12/quantum-computing-and-the-financial-system-spooky-action-at-a-distance-50159",
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  "summary": "The era of quantum computing is about to begin, with profound implications for the global economy and the financial system. Rapid development of quantum computing brings both benefits and risks.",
  "sections": [
    {
      "heading": "Executive summary",
      "content": "- The era of quantum computing is about to begin, with profound implications for the global economy and the financial system.\n- Rapid development of quantum computing brings both benefits and risks.\n- Quantum computers can:\n  - revolutionize industries and fields that require significant computing power, including modeling financial markets;\n  - enable designing new effective medicines and vaccines;\n  - empower artificial intelligence;\n  - create a new and secure way of communication (quantum Internet).\n- Quantum computers would also crack many of the current encryption algorithms and threaten financial stability by compromising the security of:\n  - mobile banking;\n  - e-commerce;\n  - fintech;\n  - digital currencies;\n  - Internet information exchange."
    },
    {
      "heading": "Key findings and risks",
      "content": "- Quantum capability poses both prospective (future) and retroactive risks to data and transactions protected by current cryptography.\n- The cryptographic threat is broad, affecting financial-sector services and infrastructure that rely on public-key cryptography.\n- Work on quantum-safe encryption is still in progress; therefore preparedness actions are urgent to avoid exposure."
    },
    {
      "heading": "Policy recommendations and operational steps for financial institutions",
      "content": "- Assess future and retroactive risks from quantum computers.\n- Take an inventory of cryptographic algorithms in use, with emphasis on public keys.\n- Build cryptographic agility to improve overall cybersecurity resilience (enable transition to quantum-safe algorithms when available)."
    },
    {
      "heading": "Subject areas and keywords (as listed)",
      "content": "- Subject: Computer science, Economic sectors, Financial crises, Financial sector, Migration, Population and demographics, Technology\n- Keywords: cloud service, Computer science, computing technology, cybersecurity, encryption standard, Financial sector, fintech, fintech., functioning quantum computer, Global, hardware capability, Migration, quantum computing, quantum machine, quantum-safe encryption\n\n---\n\n Content in this bundle\n\n- Working Paper\n  - Working Paper (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Working Paper (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2021/03/12/quantum-computing-and-the-financial-system-spooky-action-at-a-distance-50159"
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    "Authors: Michael Gorbanyov, Majid Malaika, Tahsin Saadi Sedik",
    "Published: March 12, 2021",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781513572727.001",
    "The era of quantum computing is about to begin, with profound implications for the global economy and the financial system.",
    "Rapid development of quantum computing brings both benefits and risks.",
    "Quantum computers can:",
    "Quantum computers would also crack many of the current encryption algorithms and threaten financial stability by compromising the security of:",
    "Quantum capability poses both prospective (future) and retroactive risks to data and transactions protected by current cryptography.",
    "The cryptographic threat is broad, affecting financial-sector services and infrastructure that rely on public-key cryptography.",
    "Work on quantum-safe encryption is still in progress; therefore preparedness actions are urgent to avoid exposure.",
    "Assess future and retroactive risks from quantum computers.",
    "Take an inventory of cryptographic algorithms in use, with emphasis on public keys.",
    "Build cryptographic agility to improve overall cybersecurity resilience (enable transition to quantum-safe algorithms when available).",
    "Subject: Computer science, Economic sectors, Financial crises, Financial sector, Migration, Population and demographics, Technology",
    "Keywords: cloud service, Computer science, computing technology, cybersecurity, encryption standard, Financial sector, fintech, fintech., functioning quantum computer, Global, hardware capability, Migration, quantum computing, quantum machine, quantum-safe encryption",
    "**Working Paper**"
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